In July 2021, Roots, a privately held Regulation A+ Real Estate Investment Trust (REIT), planted itself in the heart of Atlanta. The company has since introduced a revolutionary model into the rental market scene, creating a unique win-win situation for both landlords and tenants.
Roots’ model is simple, yet efficient. Known as the “Live In It Like You Own It” model, it enables renters to earn a quarterly rebate for being responsible tenants. As a direct result of this innovative model, Roots is able to encourage tenants to maintain properties, pay rent punctually, and build ideal tenant profiles. This relationship has proven to be of mutual benefit with renters potentially earning hundreds to thousands of dollars while renting. Furthermore, this model opens doors for renters to invest in the Roots fund, used for property purchase and management. This allows them to be co-investors in the fund’s properties alongside their landlords.
The innovative minds behind Roots are Larry and Daniel Dorfman – father and son, respectively – and Scott Jacobsen. Daniel’s involvement in real estate started in 2009 when he co-invested with his also entrepreneurial-minded girlfriend (now wife) after earning a substantial sum from his software company. This introductory step into the real estate world planted a seed that later sprouted into Roots. Daniel confessed a profound love for the tangibility of real estate assets, especially knowing that these assets could provide a home for someone.
Roots’ mission to empower renters was born out of a desire to provide more than just shelter. The company wanted to help renters gain some equity in the real estate market; a market that had helped Daniel and his partners accrue wealth. After researching available options including ‘rent to own’ schemes and low conversion rates, they crafted their unique system: the “Live In It Like You Own It” model.
From day one, renters have the possibility to invest their fees, such as security deposits, into the investment portfolio. This scheme allows renters to become partial owners of the properties they live in, giving them a direct incentive to maintain their homes, ensuring the value of the property remains high. Additionally, meeting quarterly requirements can lead to rental rebates, with an average rebate of $150 per quarter, leading to an additional income of $600 p.a.
Roots could potentially change the dynamic of the rental market in Atlanta. The company recorded an 80% renewal rate amongst residents, a significant increase from the national average of 57%. For Daniel, this success validates their program and encourages them to proceed towards their goal of “impacting the lives of the renting community in Atlanta.”
While Roots remains localized in Atlanta, the company does have plans for expansion. They have outlined six potential cities for future growth: Nashville, Chattanooga, Birmingham, Greenville, Charleston, and Charlotte. They also aim to roll out their resident engagement software to owner-operators across the country.
Welcome to Washington: Pam Bondi Nominated as New Attorney General In a twist that has…
Sammamish Residents Battle Power Outages After Bomb Cyclone In Sammamish, frustration and determination mingle as…
Chicago’s Rollercoaster Legal Saga: Jussie Smollett’s Conviction Overturned Chicago, a city known for its deep-dish…
Atlanta Residents Brace for a Unique Holiday Season It felt incredibly bizarre to wake up…
JONESBORO, GA— Hey there! Big news is buzzing around town because the Majestic Marching Cardinals…
Exciting Partnership Announcement in Atlanta! Atlanta, the vibrant capital of Georgia, has just received some…